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Guide

Avoiding Negligent Entrustment: Limiting Your Liability on the Roads

Most companies have a deep understanding of the risks that are closely associated with their major lines of business and have processes in place to mitigate those risks. For an automobile manufacturer, this could entail rigorous quality checks on new vehicle models before they are made available for sale, so as to avoid the considerable costs and PR concerns often associated with vehicle recalls. For a construction company, this may mean maintaining documented safety procedures and conducting regular emergency drills at its worksites to prevent employee injuries and workman’s compensation claims. Because such risks directly apply to the core day-to-day operations of these businesses, they are often at the forefront of the companies’ risk management strategies.

But for many organizations, it is more difficult to account for the risks that apply to their businesses in less obvious ways. A company’s vehicle fleet, for example, is often viewed as an operational means-to-an-end and typically isn’t a major topic of daily consideration outside of the fleet department. Yet the way a company’s drivers handle themselves on the road can have a very profound impact on the company’s liability, particularly when it comes to something known as negligent entrustment.

This guide will explore the following:

  • Negligent entrustment examples – based on real life examples of organizations that were found to have committed negligent entrustment.
  • Reducing your exposure – what negligent entrustment investigations focus on and best practices we recommend to any organization with a vehicle fleet.
  • Next Steps – why the time is now to make sure you are protected.

To learn more, download Avoiding negligent entrustment: limiting your liability on the roads guide today.

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